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Glossary

Graduated Rent Lease

A type of lease with pre-agreed rent changes at specific future dates, which is rare in the Dutch residential market and legally complex.

Contract Types

Pre-Programmed Rent Hikes

A graduated rent lease, known in Dutch as staffelhuur (literally 'graduated rent'), is a rental agreement where the rent amount is not fixed for the duration of the contract but instead changes on pre-determined dates by pre-determined amounts. This is different from a standard indexation clause, where the percentage of the annual increase is unknown in advance because it depends on future inflation. With staffelhuur, the exact future rents are written directly into the contract. For example, the lease might state: "The rent is €1,500 per month for the first 12 months, €1,650 per month for the subsequent 12 months, and €1,800 per month thereafter." While this provides certainty, it is a very uncommon contract form for residential properties in the Netherlands and is fraught with legal complexities and potential pitfalls for tenants.

The Step-Up Lease (Staffelhuur)

The most common form of a graduated lease is the step-up lease, where the rent increases in steps over time. Landlords sometimes use this model to attract tenants with a lower, more appealing initial rent, knowing it will automatically rise to a higher level later on. This can make a property seem more affordable than it actually is over the medium term. Tenants must calculate the average rent over the entire period to understand the true cost. These contracts are very different from promotional offers (e.g., 'first month free'), as the graduated rent structure is a permanent feature of the lease's pricing.

Legality and Sectoral Differences

The legal validity of a staffelhuur contract depends entirely on which rental sector the property is in:

  • Regulated (Social) Sector: In this sector, graduated rent clauses are strictly illegal. The maximum rent is determined by the points system (woningwaarderingsstelsel), and the rent can only be increased once per year according to the government-mandated maximum percentage. Any clause that pre-defines a different rent increase schedule is null and void.
  • Free Sector: In the free sector, staffelhuur is theoretically permissible, but it must still comply with fundamental rental laws. The most important of these is that the rent can only be increased once every 12 months. Therefore, the 'steps' in the contract must be at least 12 months apart. Furthermore, the pre-agreed 'step' increase replaces the standard indexation increase for that year; a landlord cannot apply both. They cannot have a step-up from €1,500 to €1,650 and also add an inflation-based increase on top of that.

Given their rarity and legal complexity, any tenant presented with a graduated rent contract should have it reviewed by a legal expert at the Juridisch Loket or Woonbond before signing.

The Theoretical Step-Down Lease

While a lease where the rent 'steps down' over time is a theoretical possibility, it is virtually non-existent in the Dutch residential market. There is no practical incentive for a landlord to offer such a structure, and it remains a concept confined to legal textbooks rather than real-world rental agreements.

Further Reading

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